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HomeMy WebLinkAbout88-10 - Cannery Village Parking FacilityRESOLUTION NO. 88 -10 A RESOLUTION OF THE .CITY COUNCIL OF THE CITY OF NEWPORT BEACH RELATING To THE REAL PROPERTY LEASE /PURCHASE AGREEMENT FOR THE CANNERY VILLAGE PARKING FACILITY AND DESIGNATION AS A • QUALIFIED TAX EXEMPT OBLIGATION WHEREAS, in connection with the acquisition and construction of a paved and metered municipal parking facility in the Cannery Village area of Newport Beach (the Project), the City Council has found and determined that it is necessary and in the best interests of the City of Newport Beach that it enter into a Real Property Lease /Purchase Agreement (the Lease) with First Continental Financial Corporation as.,.Les.sor (the Lessor); WHEREAS, Lessor has requested that the Lease be designated as as "qualified tax exempt obligation" for purposes of the Internal Revenue Code of 1986 (the Code); and WHEREAS, pursuant to Section 265(b)(3) of the Code, it is found and determined that it is appropriate to designate the Lease as a qualified tax exempt obligation. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Newport Beach: Section 1: The City Council hereby designates the Lease as "qualified tax exempt obligation" for purposes of Section 265(b)(3) of the Code; Section 2: The City declares that the Lease is not a "private activity bond" as defined in the Code and that neither the City nor any of its subordinate entities reasonably expect to issue in excess of $5,000,000 aggregate amount of qualified tax exempt obligations during the calendar year in which the Lease is issued; and the City hereby covenants not to designate more than $5,000 aggregate amount of qualified tax exempt obligations during the calendar year in which the Lease is issued; Section 3: The City hereby represents that it has not previously, during calendar year 1988, designated any obligation as a "qualified tax exempt obligation." ADOPTED this 8th day ATTEST: zlx� City Clerk